Will aus go as mental as nz

Looking across the ditch all the main cities in nz have gone nuts, 20pct price increase across all nz last year. I dont see any good reason why nz should explode more than aus. Both countries dont have a material covid problem, both boast the open spaces attractive post covid, and both have stupid govt policy promoting bubbles. Could it be aus is 6 months behind nz due to the vic lockdown and we could be gearing up to a similar boom across more than just regional hotspots? I say this noting that nz's explosion has a strong investor component not evident in aus ..... yet.

 

IIRC Auckland city is the source of most of the recent property price rises. I would say they lag behind Australia by 3-4 years, not that they're speaheading into the price boom.

Waiheke Island, one of the islands in Auckland Habour, is known as the billionaire's hide out. Many silicon valley 0.1 percenters have discreetly bought up doomsday/retreat properties there. That's where I would park my spare 60 million. I want to buy up a large enough tract of land, convert it into a private airport/helipad to welcome visitors coming via personal planes and helicopters onto the island.

 

Wellington has gone nuts as well.

 

Starting to believe its a world phenomena, every country is heading or is booming
Read today on PC, China booming

 

I agree. even covid epicentres like los angeles and london are rising strongly. Low rates, fomo etc.

 

I own properties in US and never seen anything like this, prices continue soaring

 

It would be interesting to see what been happening in Queenstown , assuming that every time there is a major world wide crisis from 2000 CFC the big money seems to flow into that small area..

 

Queenstown house prices: Overseas New Zealand buyers, Australians boost prices from afar - NZ Herald

 

My former colleague at Amex grew up there, and years ago he saw prices rising.
I personally think living on a small island would be a major pain in the arse though.

 

There is an unlimited supply of free money sloshing around. Housing bubbles are sprouting everywhere.

Central banks are unable to get business to borrow and expand, which may be a problem if we need jobs to service all this debt in the longer term.

 

Waikiki Island is a very beautiful place, with green rolling hills, amazing wineries and sandy beaches. I really can't think of a better place to have a luxury retreat if I am a billionaire.

 

At the rate that we are going, 20% real gain is likely by mid next year for most of our cities maybe with the exception of Sydney as its already quite expensive and bad rental return.

 

I lived in auckland for a while, always thought waikiki was overrated, maybe just cause as a kiwi we are used to that sort of landcape and im not into wine. Nothing compares to aussie beaches imho.

 

I think anywhere in Sydney that hasn't passed the $1.5m mark has room to grow. There are still plenty of couples earning circa $300k a year collectively and still renting that can comfortably service a $2m loan.

 

I agree that Sydney has room to grow, but alot less room than others as its 2x the price of other capital cities with the exception of Melbourne, it will still likely to archive 10+% I believe.

 

That's true. It might still see 10-20%, but the others could be double or triple that.

 

In the longer term it's not just billionaires, many concerned about societal breakdown in the US, that the NZ market will profit from. There will be massive interest from Australian buyers as the effects of climate change become more pronounced and erodes lifestyle/comfort on these shores.

 

One of my kids , aged 30 , good job, has been told he and his partner could borrow 3 ...

Since then , some of the work force where he works are being let go though he’s got a promotion .

he’s not looking to but in Sydney . Talking about another in Queensland .

cliff

 

The way property is going up we will all be billionaires

 

Its crazy we talk casually of 2 to 3 mill fhb loans. What a **** sandwich we have dealt to the younger generation.